8 West Hawaii Real Estate | June 22, 2016 MLS Statistics Sales and inventory trends MLS Sales and prices on the rise The North Kona residential price, which remained relatively flat in 2015, is increasing in 2016, as shown in the latest charts in the Griggs Report. The higher end of the market – houses priced over $900,000 – is showing an increase in sales numbers. Sales are up, but the oversupply is keeping prices relatively stable, according to the MLS data. Studying the activity in various price ranges can be useful in understanding the market. The lower end of the market might be considered a strong seller’s market because of strong demand and the shrinking inventory. There are currently only 21 homes listed for sale under $500,000 and that number continues to shrink. Affordable housing is becoming a serious issue in the Kona market area, according to Michael B. Griggs, Clark Realty Corporation Vacant Land Loans Rates 5.25% as low as: APR* No points with up to 75% financing!** $QQXDO3HUFHQWDJH5DWH:LOOORDQXSWRRIWKHDSSUDLVHGYDOXHRUVDOHVSULFHZKLFKHYHULVOHVV7KUHHDQG¿YH\HDUWHUPV DYDLODEOH$¿QDOEDOORRQSD\PHQWLVGXHDWWKHHQGRIWKHWHUP0RQWKO\SD\PHQWLVFDOFXODWHGXVLQJD\HDUDPRUWLDWLRQ$OOORDQVDUH VXEMHFWWRFUHGLWDSSURYDO5DWHVDQGWHUPVZLOOEHGHWHUPLQHGEDVHGRQLQGLYLGXDOFUHGLWZRUWKLQHVV0DLPXPORDQDPRXQWIRUSURSHUWLHV ORFDWHGLQ/DYD+DDUG=RQHVDQGXSWR0XVWEH\HDUVRIDJHWRTXDOLI\IRUDORDQ0XVWEHDPHPEHUWRSDUWLFLSDWH )HGHUDOO\LQVXUHGE\1&8$ 808-930-7700 hicommfcu.com 5HY broker. The higher end of the market – homes priced over $900,000 – is showing an increase in sales numbers. The ample supply seems to be keeping prices stable, said Griggs. The North Kona Condo market data shows an 11 percent increase in median price over the price a year earlier. The most recent report shows this increasing trend is leveling off. “It is likely the increased level of inventory coupled with the modest escrow activity is containing price growth,” said Griggs. Despite the increase in median price the 12 month, sales numbers are still healthy in the over 350 range. “If you look at the historical prices in the residential and condo charts, you see the 2006 prices are still well above current levels suggesting that price still has a great deal of upside if historical cyclical trends hold true as they have since the 1970s.” said Griggs. North Kona Residential # Sold in Past 12 Months vs. Median Sale Price (thous.) North Kona Condominium # Sold in Past 12 Months vs. Median Sale Price (thous.) North 6/15/06 6/15/07 6/15/08 6/15/09 6/15/10 6/15/11 6/15/12 6/15/13 6/15/14 5/15/15 6/15/16 Percentage
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